Telecom Italia (TIM) and unions agreed on Monday to cut up to 1,300 jobs in Italy this year through a voluntary scheme, Reuters reported.
The cuts would amount to around 3 percent of TIM’s 42,600 employees in Italy and be implemented through an early retirement scheme.
In addition, TIM and unions have agreed a potential further 178 jobs cuts to be implemented by the end of 2023 through a separate voluntary layoff scheme.
TIM declined to comment.
The company has already reduced its workforce in Italy using voluntary schemes, with more than 2,500 people leaving the group in 2020.
Revenues at the former phone monopolist fell 7.7 percent in its key domestic market last year, excluding one-off items, hit by the coronavirus crisis and stiffer competition.
TIM may consider hiring new personnel to back its digital drive as the group develops a new cloud unit and boosts cybersecurity, video streaming and Internet of Things (IoT) businesses.
TIM CEO Luigi Gubitosi — under a three year plan unveiled last month — said the group aimed to more than double revenues from these so-called “adjacent markets”, worth nearly 700 million euro ($831 million) last year.